If you lodge your own Australian tax return, 31 October is the usual deadline to finalise it for the previous financial year. For an investment property, the main EOFY work is matching rental income, loan interest, fees, repairs and other expenses to the period they relate to, then keeping evidence in case the ATO asks. Owner-occupier home loan costs are generally not rental property deductions, so keep private and investment borrowing clearly separated.

This checklist is general information for Australian property owners. It is not tax, legal, lending or financial advice.

EOFY property tax deductions checklist for Australia

1. Confirm the property was genuinely available for rent

Start with the basics: was the property rented, or genuinely available for rent, during the financial year? Keep the lease, agent statements, advertising history and vacancy dates.

According to the ATO, rental property owners need to declare rental income and can generally claim deductions for expenses incurred in earning that income (ATO, 2026). If you used the property privately, held it for family use, or only made it available at mates’ rates, the deductible portion may need to be reduced.

2. Reconcile all rental income

Download your annual statement from the property manager and compare it with bank deposits. Include rent, bond amounts retained, insurance payouts for lost rent, reimbursements from tenants and any short-stay platform income.

Do not just copy the net amount deposited after the agent deducts fees. Your return usually needs gross rental income and then separate expense deductions.

3. Separate investment loan interest from private borrowing

For many landlords, loan interest is the largest deduction. The key issue is purpose. Interest may be deductible when the borrowed money was used to buy, repair or improve a rental property, but not when the borrowing was for private spending.

If you refinanced, topped up the loan, used redraw or accessed equity, trace where the funds went. A top-up used for renovations on the rental property may be treated differently from a top-up used for a car, holiday or owner-occupied home costs. Keep settlement statements, refinance documents, loan statements and bank transaction records.

ASIC MoneySmart explains that home loans can include features such as offset accounts, redraw and different repayment structures (MoneySmart, 2026). For tax records, those features matter because an offset account generally reduces interest charged without reborrowing, while redraw can create tracing issues if withdrawn funds are used privately.

4. Check whether the loan is interest-only or principal and interest

Your repayment amount is not the same as deductible interest. With a principal and interest loan, only the interest component may be relevant for a rental deduction. The principal repayment is a repayment of debt, not an expense.

Download the lender’s annual interest summary if available. If your loan changed from fixed to variable, interest-only to principal and interest, or investment to owner-occupied during the year, save the notices showing the dates.

When comparing or changing loans, remember that advertised rates differ from the comparison rate, which includes most fees and charges. As of July 2026, rates change frequently, so verify current terms with a licensed lender or mortgage broker before deciding.

5. Gather property management and holding costs

Common rental property records to review include property management fees, letting fees, advertising, landlord insurance, council rates, water rates, strata levies, cleaning, gardening, pest control, security monitoring and bank fees linked to the investment loan.

Some costs are immediately deductible, while others may need to be depreciated or treated as capital. Do not guess where the amount is material. Ask a registered tax agent, particularly if the invoice relates to major works.

6. Sort repairs, maintenance and improvements

This is one of the easiest areas to get wrong. A repair usually restores something that was already there, such as fixing a broken hot water system or replacing damaged roof tiles. An improvement generally makes the property better than before, such as adding a new deck, renovating a kitchen or upgrading to higher-spec fixtures.

The tax treatment can differ, so create three folders before lodging: repairs, capital works and depreciating assets. Save invoices with clear descriptions, dates and photos if the work was substantial.

7. Review depreciation and capital works

If you have a depreciation schedule, check it against the current year’s property use. Depreciation and capital works deductions can be valuable, but rules vary depending on the property, the asset, when it was purchased and whether it was new or previously used.

Read also: EOFY Tax Checklist for Investment Property Owners in Australia Before Lodging

A quantity surveyor’s report can help where the claim is material. Keep the schedule with your permanent records, not just this year’s tax file.

8. Account for borrowing costs over time

Some loan-related costs are not simply claimed in full in the year paid. Borrowing costs such as loan establishment fees, mortgage broker fees charged to you, title search fees charged by the lender and certain mortgage documentation costs may need to be spread over more than one year.

If you refinanced during the financial year, check whether any remaining borrowing costs from the old loan need final treatment. Break costs on fixed loans can also be relevant, but the correct treatment depends on the facts.

9. Check state and territory property charges

Land tax, stamp duty, emergency services levies and investor surcharges vary by state and territory. Stamp duty on purchase is usually capital in nature rather than a simple annual deduction, while land tax may be treated differently depending on the property and ownership structure.

Keep state revenue notices and do not assume the rule is the same across New South Wales, Victoria, Queensland, Western Australia, South Australia, Tasmania, the ACT and the Northern Territory.

10. Prepare records before 31 October

If you lodge your own return, aim to have the file ready well before 31 October. If you use a registered tax agent, contact them before the deadline so you can be added to their lodgment program if eligible.

Your EOFY file should include lender interest summaries, rental statements, invoices, receipts, insurance schedules, council and strata notices, land tax notices, settlement and refinance documents, depreciation schedules and notes explaining any mixed-use or private-use adjustments.

The RBA cash rate influences funding costs and variable home loan pricing across the market, but individual mortgage rates are set by lenders and change over time (RBA, 2026). Keep actual lender statements rather than relying on advertised rates.

Common mistakes to avoid

Do not claim the full loan repayment instead of the interest component. Do not mix private redraw with investment borrowing without keeping a clear tracing record. Do not treat every renovation invoice as an immediate repair. Do not forget income from short-stay platforms or insurance payouts. Do not rely on screenshots alone if you can download formal statements.

Most importantly, do not lodge a claim you cannot explain. A clean record file is often the difference between a simple deduction and a stressful amendment later.

Frequently asked questions

Can I claim my own home loan interest?

Generally, no. Interest on a loan for your own home is usually private. Interest may be relevant where the borrowed money was used for an income-producing rental property, but mixed loans and redraw can complicate the answer.

Is 31 October always the deadline?

For many individuals lodging their own return, 31 October is the usual deadline. If you use a registered tax agent, different lodgment arrangements may apply, but you should contact the agent before the deadline.

Can I claim an offset account balance?

No. An offset account reduces the interest charged on the linked loan. The balance itself is not a deduction. Keep offset and redraw records because they can affect interest calculations and fund tracing.

Should I refinance before lodging my tax return?

Refinancing is a lending decision, not just a tax decision. Compare the interest rate, comparison rate, fees, break costs, loan features and the purpose of any new borrowing. Eligibility, fees and availability vary by lender, product and your circumstances.

Conclusion

Before 31 October, build a defensible file: rental income, investment loan interest, property expenses, repairs, depreciation and records showing how borrowed funds were used. If the property, loan or ownership structure is complex, speak with a registered tax agent and a licensed lender or mortgage broker before lodging.

General advice warning

This information is general in nature only and does not consider your objectives, financial situation or needs. It is not personalised financial, lending, tax or legal advice. Consider obtaining personal advice from a licensed professional before acting. Eligibility, limits, fees, LMI, tax outcomes and availability vary by lender, product and personal circumstances, and stamp duty, grants and property charges differ by state and territory.